Summary: Economics is the study of how scarce resources are distributed to satisfy the wants and needs of people. There are many factors that affect economics, scarcity, choice, opportunity cost, the factors of production. These factors are why people study economics and why the study of economics exists. Economies have to be able to answer the basic economic questions (what should be produced and how much, how should things be produced and who should they be produced for?) to ration resources. Sustainable economic development is essential to meet the world's needs in the present as well as to meet the needs of the world in the future.
Questions: 1. What are the four factors of production and why are they important to production? 2. Compare and contrast microeconomics and macroeconomics. 3. What are the disadvantages and advantages of pure free markets? of planned economics? 4. Define opportunity cost, give an example and how is it related to scarcity and choice? 5. Define sustainable development and its purposes
Part 2: Thinking, Interpreting, Interacting, Being Awesome
This 60 second video talks about the free market economic system and why countries get involved in their economies. All economies are actually mixed economies, made up of both theoretical allocations systems, because there are benefits to both. Free market economy is when production is left in private hands and prices are used to ration resources, but it will take the economy a long time to reach equilibrium and this leads to unemployment, that is why government usually have some play in their economies.
This comic is an example of opportunity cost with relations to scarcity and choice. Tamara wants to buy a movie to watch, but he only has five dollars and can't buy them all, so he has to make a choice. This shows how though you make one decision, you are costing yourself the other alternatives.
Original Awesomeness: This tree diagram displays the four factors of production; land, labour, capital and management. Land provides the resources, labour the workforce, capital the investment and management the organization and risk taking. Each of the factors play an important part in production, but together they are what drive production.
Notes:
Summary:
Economics is the study of how scarce resources are distributed to satisfy the wants and needs of people. There are many factors that affect economics, scarcity, choice, opportunity cost, the factors of production. These factors are why people study economics and why the study of economics exists. Economies have to be able to answer the basic economic questions (what should be produced and how much, how should things be produced and who should they be produced for?) to ration resources. Sustainable economic development is essential to meet the world's needs in the present as well as to meet the needs of the world in the future.
Questions:
1. What are the four factors of production and why are they important to production?
2. Compare and contrast microeconomics and macroeconomics.
3. What are the disadvantages and advantages of pure free markets? of planned economics?
4. Define opportunity cost, give an example and how is it related to scarcity and choice?
5. Define sustainable development and its purposes
Part 2: Thinking, Interpreting, Interacting, Being Awesome
Found Awesomeness:
#1: Free Market Economies
OuLearn. "The Invisible Hand." 02 September 2012. Online video clip. YouTube. Accessed on 23 August 2014. <https://www.youtube.com/watch?v=ulyVXa-u4wE&list=PLhQpDGfX5e7DDGEQvLonjDQsbclAF2N-t&index=4>
This 60 second video talks about the free market economic system and why countries get involved in their economies. All economies are actually mixed economies, made up of both theoretical allocations systems, because there are benefits to both. Free market economy is when production is left in private hands and prices are used to ration resources, but it will take the economy a long time to reach equilibrium and this leads to unemployment, that is why government usually have some play in their economies.
#2: Opportunity Costs
Boyd, Bentley. "What Is Your Opportunity Cost?" Chester Comix. N.p., n.d. Web. 23 Aug. 2014. <http://www.chestercomix.com/blog/comix-economix/#2>.
This comic is an example of opportunity cost with relations to scarcity and choice. Tamara wants to buy a movie to watch, but he only has five dollars and can't buy them all, so he has to make a choice. This shows how though you make one decision, you are costing yourself the other alternatives.
Original Awesomeness:
This tree diagram displays the four factors of production; land, labour, capital and management. Land provides the resources, labour the workforce, capital the investment and management the organization and risk taking. Each of the factors play an important part in production, but together they are what drive production.